If the Directors don’t act in the best interests of shareholders, they should be voted out. - Ranmore

If the Directors don’t act in the best interests of shareholders, they should be voted out.

I

Pity shareholders can’t do that to the “cosy crew” at Prosus (PRX) who are protected by Naspers’ 72% and in turn, protected by NPN’s control structure refer pg 134 of their 137 pg AR

PRX wrote in their interims on 23/11/20

“Finally, we remain committed to taking the right actions to unlock value for all our shareholders.”

Barely four months later (having under-performed Tencent), announced today:

“Prosus has committed not to sell any further Tencent shares for at least the next three years”

What?

They’re trading at €50bn less than their stake in Tencent alone so IMHO, the only thing they should be “committed” to, is selling Tencent & buying back their own shares, unlocking this discount

But unfortunately, they seem more “committed” to Tencent than their own shareholders

They sure aren’t “committed” to the SA savers, who have ~22% of their local equity exposure in PRX and NPN & are really paying this price

Meanwhile

The Prosus CEO + CFO on track to earn $25m in 2020 & another $26m in 2021

ZAR 377m p/a

or

ZAR 1.1bn waiting for this lockup expiry

Not bad for “committing” to nothing; except perhaps throwing more money at guys on bikes delivering pizzas, masquerading as “tech”

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